What becomes of Iger if Eisner goes?

Disney's No. 2 man amicable, but not seen in top job

RussBritt

LOS ANGELES (CBS.MW) -- He's not a target in the current shareholder revolt at Walt Disney Co., but many are wondering if that's good or bad for Robert Iger, the company's president and No. 2 man.

Company watchers say it's good for Iger that he's one of the few Disney board members whose head isn't on the shareholder chopping block, unlike his boss Chairman Michael Eisner and several other directors.

"Mr. Eisner is the problem," said Michael Sitrick, a spokesman for Roy Disney and Stanley Gold, two former board members who are leading a shareholder revolt to oust Eisner, who also is the company's chief executive.

But that doesn't necessarily mean a promotion for Iger should Eisner eventually leave Disney
DIS, -0.97%
Iger also serves as chief operating officer.

"He's managed to keep a pretty pristine public record," said Gregory Taxin, chief executive of proxy consultants Glass Lewis & Co., which has come out against removing Eisner and two other directors. "But there probably are criticisms that could be leveled at Iger."

A Disney spokesman said Iger would not comment for the story. Sources close to Roy Disney and Gold say Iger is not seen as a possible Eisner replacement, but more an interim chief should there be a change at the top.

If Iger has had any failings, it is with the ABC Television Network, which has lagged in last place among the four major broadcast networks for several seasons.

Iger was an executive at ABC before Disney acquired it in 1996, and he ushered the network through the merger. In 2000, he was promoted to become Disney's president, but still kept his finger on the network's pulse.

That year, ABC's prime-time schedule was replete with installments of "Who Wants to Be a Millionaire?," a strategy that proved disastrous. ABC had not developed shows to take "Millionaire's" place once ratings started to drop. That happened the next year.

But Iger -- who also assumed control of Disney's other networks -- helped boost ESPN into a veritable cable channel powerhouse, and made the Disney Channel the most-watched network among youths.

Part of Iger's shortcomings may come from being Eisner's underling; he simply has little chance to shine in the chief's formidable shadow, experts say.

That shadow could follow him should Comcast Corp.
CMCSKCMCSA, -1.42%
come through and purchase Disney. Comcast has offered $60 billion for Disney, which the company rejected, and the cable giant is presumed to be waiting for what happens at next week's annual meeting where Eisner and other board members could face a tough proxy vote. See full story.

Yet one shareholder who says she'll vote against Eisner, Alice Kottmyer, said Iger is personable. At last year's Disney annual meeting, Iger came up to her and chatted for a while.

"He's actually a pretty nice guy, as these executives go," Kottmyer said. "He's a smart guy. He's been around the business a long time. He's been around Disney a long time."

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